FX.co ★ Futures market review

Crude oil
Crude oil futures fell on Wednesday which was partly due to the release of oil reserves in the USA, which grew again last week, as demand for the crude oil remains to be weak. The fall in oil prices was restricted by the dollar\'s easing, the last, as a rule, leads to increase of commodity goods prices, denominated in the U. S. dollars. According to EIA report, the stocks of crude oil, petrol and other oil products increased by 1,9mln. barrels last week. Moreover, the demand for petrol grew, but it is still remained to be much lower than the level in the previous year. Also Chinese Government data about the lowering of petrol imports also put pressure to the crude oil.

During the New — York Commodity Exchange September\'s crude oil futures dropped by 21 cents or 0,3% to $65,40 per barrel. In addition, bonds\' market was disapointed by the FRS Chairman Ben Bernanke statements that he had no clear strategy overcoming the crisis. Despite that the interest rates will remain at the low levels in near future, Bernanke\'s statements that the FRS actions saved the global economy from the complete crash, were not exactly what the bulls waтеув to hear. With the growth of the crude oil reserves the latter wanted to hear that the Central Bank again had a dig at the printing machine, thus the oil\'s prices continue its growth. The oil bulls know it very well what made the oil prices to step back last quarter. Exactly the FRS, especially Ben Bernanke, made their differrence, creating the illusion that there is some kind of inflation, in order to avoid deflation. The oil market needs an extrinsic stimuli to continue its growth, because without it the focus may again jumps to the demand which in its turn may negatively affects the prices.

Gold

Gold futures grew to 6-week maximum levels on Wednesday. The August contract closed above by $6,40 or 0,7% and appeared at the level of $953,30 per unce which is the highest mark since June, 11. Yesterday\'s speech of Ben Bernanke was less optimistic then it was expected. Although he noticed that the economy flattens out, however the jobless rate stays high and the FRS will continue to smooth the monetary policy. The FRS Chairman\'s statements and his concerns about CIT possible bankruptcy put skeptics into a flutter which led to the growth of demand for assets with a low profit, this negatively echoes on the gold.

Best regards,

Analyst: Vladimir Donin